Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Public Infrastructure Districts topic
No spam. Unsubscribe anytime.
Weber County commissioners ask staff to draft resolution saying PIDs are not county component units
Summary
At a May 18 work session, commissioners instructed staff to draft a resolution declaring existing and future public infrastructure districts (PIDs) are not component units of the county, aiming to head off state auditor scrutiny and clarify reporting under GASB rules.
At a May 18 work session, Weber County commissioners directed staff to draft a resolution stating that the county's three existing public infrastructure districts (PIDs) and any future PIDs are not component units of the county for financial-reporting purposes.
County finance and legal staff, led in the discussion by Stephanie Russell, said the state auditor has sent letters suggesting some PIDs may need to be reported as component units under Governmental Accounting Standards Board (GASB) guidance. Russell described differing interpretations between the state legislature and the auditor and urged a preemptive county position: “We pass a resolution that says our 3 PIDs and any PIDs moving forward are not components of the county,” she said, recommending later amendments to PID governing documents as needed.
Ricky Hatch, representing county finance staff, summarized the GASB checklist used to determine component status and framed the stakes in plain terms: “Does the county have control? Does the county benefit? Is the county financially accountable for it?” He said staff do not feel the tests are met in Weber County’s case and recommended citing the applicable statute in the county’s resolution to strengthen the county’s position.
Commissioners discussed the example of an out-of-state PID the auditor had treated as a component unit and the consequences that followed in that case, and they directed staff to run proposed language by county counsel and outside counsel (Gilmore Bell) before finalizing it. Commissioners also asked staff to notify the PIDs after the resolution is passed and to consider modest governing-document amendments (for example, removing county reporting or oversight clauses) if counsel recommends them.
Next steps: staff will draft resolution language, review it with Randy (county counsel) and outside counsel, return to the commission for approval, and notify the three PIDs identified in packet materials. The county’s finance team will also determine whether to amend PID governing documents to avoid criteria that could be construed as establishing component-unit status.
